The Influence Of Orientation-increase On Business Performance In NEEQ-D Company

According to statistics released by the National Bureau of Statistics,China's gross national product in 2016 was 129.852 billion U.S.dollars,and the listed company's total share capital was 5076.8 billion yuan in 2016.Therefore,the total market capitalization of listed companies in China accounted for 68.28% of total GDP in 2016.In the same year,the total market value of listed companies in the USA accounted for 146.86% of their GDP,where the financial market is more developed The comparison shows that there is still more space for the capital market in our country to develop.As the “reserve base for the development of listed companies”,the development of national equities exchange and quotations is particularly critical.The development of NEEQ bears an important responsibility for the future development of China's economy and is the vanguard of China's national economic growth.On the other hand,the NEEQ is not only a financing platform for small and medium-sized enterprises in China,more importantly it is an important component of China's multi-level capital market.The establishment of the NEEQ represents the formation of the capital market system in our country which is composed of the main board market,the growth enterprise market,the small and medium enterprise board and the national equities exchange and quotations.Additional stock issue tailed for specific investor.has become the most dominant way to raise funds for the enterprises in the NEEQ market because of its low cost and low requirements.Of course,the performance of the NEEQ also live up to the expectations.In 2016,the number of issued shares to specific investors is 29.461 billion in the NEEQ market,and the actual amount of funds raised reached 139.087 billion yuan.However,there are few studies on the changes in the operating performance of the companies after financing in this market.We still have no way to know how the operating performance of the listed companies is after the targeted capital increase.Therefore,under the background mentioned above,the article takes D Software Co.,Ltd.as a case to try to study the performance of the companies after targeted capital increase.and try to find out whether capital structure and cash flow has been improved.At the same time,this article try to analyze how companies can use funds obtained through private placement to improve corporate operating performance effectively.Based on this,it puts forward proposals for the development of companies in NEEQ market after targeted capital increase.and related regulatory policy recommendations.